Any person may complain, in writing, to a participant about any business activity of the participant that the person believes might constitute a breach of the rules.

The participant must ensure that the complaint is promptly, thoroughly, and fairly investigated by the participant, and that appropriate remedial action is taken.

The participant must promptly notify in writing the person who made the complaint of the result of the investigation and the remedial action (if any) taken by the participant.

If any participant believes, on reasonable grounds, that it or another participant has breached the rules, that participant may notify the market administrator of that alleged breach.

The notice must be in writing and must specify—

Any consumer or other person (other than a participant) may notify the market administrator if the consumer or other person believes, on reasonable grounds, that—

If the industry body becomes aware of an alleged breach of the rules by a participant, the industry body may notify the market administrator of that alleged breach at any time.

If a reporting participant believes on reasonable grounds that any other participant has breached the rules, the reporting participant must, subject to regulation 11A, notify the market administrator of the alleged breach as soon as possible.

A notice under subclause (1) must be in writing and must specify—

The reporting participant may include notices under subclause (1) in regular reports to the market administrator as agreed between that reporting participant and the market administrator.

If, during the course of an audit carried out under Part 4 of the Gas (Downstream Reconciliation) Rules 2008 or regulation 42, 65A, or 83 of the Gas Governance (Critical Contingency Management) Regulations 2008, the auditor determines that there may have been an alleged breach of those rules or regulations, the auditor must notify the market administrator of that alleged breach at the same time it provides the final audit report to the industry body.

Regulation 11(1) does not apply to the extent that—

In making a decision for the purpose of subclause (1)(b), a reporting participant must have regard to—

Each reporting participant must ensure that the market administrator receives a monthly report detailing any alleged breaches that the reporting participant, in reliance on this regulation, does not notify under regulation 11(1).

This regulation does not limit regulations 9 and 10 (voluntary reporting of alleged breaches).

If the market administrator receives a breach notice, the market administrator must—

If this subclause applies, the market administrator must also notify the participant that, if the Rulings Panel is to determine the alleged breach, the Rulings Panel may decide to take no action if it is satisfied that—

The market administrator must use reasonable endeavours to give the acknowledgement and notice within 5 business days of receiving the breach notice.

At the same time as the market administrator notifies a participant under regulation 12(1)(b) of the information specified in that paragraph (the information), the market administrator must—

Within 5 business days after the market administrator notifies participants under subclause (1)(b), any participant may notify the market administrator that the participant considers that it is affected by the alleged breach and wishes to become a party to the matter.

The participant is then joined as a party to the matter.

The market administrator may request information about the circumstances of the alleged breach from any of the following:

Any person who is requested to provide information in accordance with subclause (1) must disclose it to the market administrator as soon as practicable, to the extent practicable.

The market administrator may, at any time prior to determining, under regulation 18, the materiality of an alleged breach,—

Within 5 business days after taking any action under subclause (1) (the action), the market administrator must—

The market administrator must keep confidential all information provided or disclosed to it except to the extent that disclosure—

Any person that provides or discloses information to the market administrator must identify to the market administrator any information that the person considers to be confidential and should not be published under regulation 22.

If these regulations require any notice to be given, the notice must be in writing and be—

In the case of an emergency, a person may give notice other than in accordance with subclause (1), but the person must, as soon as practicable, confirm the notice in writing and by a method set out in subclause (1).

In the absence of proof to the contrary, notices are taken to be given,—

The market administrator must determine whether an alleged breach raises a material issue on the information provided in the breach notice and any other information obtained in accordance with regulation 14.

If, in the opinion of the market administrator, the alleged breach does not raise a material issue, the market administrator may—

If, in the opinion of the market administrator, the alleged breach does raise a material issue, the market administrator must refer the alleged breach to an investigator for investigation.

If the market administrator is unable to determine whether an alleged breach raises a material issue because the market administrator cannot obtain sufficient information, the market administrator must refer the alleged breach to an investigator for investigation.

The market administrator may decline to make a determination in respect of an alleged breach that relates to a matter that has already been referred to, or that the market administrator considers is more properly dealt with by, either—

The market administrator must, in determining whether or not an alleged breach raises a material issue, take into account the following factors, to the extent that they are practical or relevant:

However, the market administrator must not take into account any claim by the participant allegedly in breach that the alleged breach was necessary to prevent or lessen a serious and imminent threat to the health and safety of any person.

The market administrator may publish guidelines to illustrate how it is weighting and applying these factors.

The market administrator may publish guidelines, in addition to any guidelines published under regulation 19(2), to assist reporting participants to assess, for the purpose of regulation 11A, the likelihood that the market administrator would determine under regulation 18 that an alleged breach raises a material issue.

The market administrator must consult participants before publishing guidelines under this regulation.

The market administrator may amend or revoke guidelines published under this regulation at any time after consulting participants.

The market administrator must revoke guidelines published under this regulation if the market administrator considers that participants’ reliance on the guidelines is contributing to an increase in the number of breaches of the rules.

The market administrator must make its determination under regulation 18 expeditiously and in a fair and reasonable manner.

If regulation 18(2)(a) applies, the market administrator must notify the following parties of its determination as soon as practicable:

If regulation 18(2)(b) applies, the market administrator must endeavour to resolve the alleged breach with the agreement of the following parties:

However, the agreement of the notifying participant under subclause (1)(a) is not required if—

In effecting an agreement, the market administrator may use any process that the market administrator thinks fit.

Every resolution under regulation 18(2)(b) must—

The persons referred to in subclause (1) must notify their acceptance of the terms of the resolution in writing to the market administrator, unless subclause (1A) applies.

The market administrator must notify the industry body in a monthly report to the industry body and, subject to regulation 15, publish all of its determinations under regulation 18, including the outcome of any resolutions achieved under regulation 21.

This regulation applies if the market administrator determines, under regulation 18(3) or (4), that an alleged breach must be referred to an investigator for investigation.

The market administrator must—

The notification referred to in subclause (2)(b) must include the identity and contact details of the investigator.

This regulation applies if—

The following parties may require the market administrator to refer the alleged breach to the investigator:

If the market administrator is required to refer the alleged breach to an investigator under subclause (2), regulation 23(2) applies to the market administrator.

The industry body must appoint 1 or more persons as investigators who have the requisite skills and experience to carry out independent investigations of alleged breaches.

In selecting an investigator under regulation 23, the market administrator must take reasonable steps to ensure that the investigator selected is free from conflicts of interest in carrying out the investigation.

In carrying out an investigation, the investigator may, subject to the agreement of the market administrator, appoint any external auditor, technical expert, or other persons that the investigator thinks fit to give advice or assistance to the investigator.

The investigator may, at any time before effecting a settlement under regulation 32, do any of the following:

Within 5 business days after taking any action under subclause (1) (the action), the investigator must—

The investigator must keep, and must ensure that every person appointed by the investigator under regulation 26 keeps, confidential all information provided or disclosed to him or her, except to the extent that disclosure—

The investigator must require any person that provides or discloses information to the investigator to identify any information that the person—

The investigator must conduct an investigation of the facts surrounding all alleged breaches notified to him or her under regulations 23 and 24.

Every participant must co-operate fully with any investigation carried out by the investigator in accordance with section 43U of the Act.

Privileges are protected in accordance with section 43V of the Act.

The investigative powers of the investigator are limited by section 43W of the Act.

The investigator must endeavour to effect a settlement of every alleged breach under investigation by agreement between—

In effecting a settlement, the investigator may use any process that the investigator thinks fit, after consultation with the persons referred to in subclause (1).

However, the agreement of the notifying participant under subclause (1)(a) and consultation with the notifying participant under subclause (2) are not required if—

Every settlement must—

The persons referred to in regulation 32(1) must notify their acceptance of the terms of the settlement in writing to the investigator, unless regulation 32(3) applies.

The investigator must provide the Rulings Panel with—

The investigator may make a recommendation to the Panel that the Panel should not approve the settlement on the ground that the settlement is not in the best interests of the gas industry or the public.

The Panel must either approve the settlement or reject the settlement.

A settlement that is approved by the Rulings Panel is final and binding on the persons referred to in regulation 32(1), all other participants, and the Rulings Panel, to the extent that no further action can be taken in respect of the alleged breach.

The industry body must publish the terms of every settlement approved by the Rulings Panel under regulation 34.

However, the Panel may direct the industry body not to publish any part, or all, of any particular settlement if the Panel considers that there are special circumstances that justify the non-publication.

If the Rulings Panel rejects a settlement under regulation 34(3), it must—

If, within the time frame specified in subclause (2), an investigator is unable to effect a settlement of an alleged breach in accordance with regulation 32, the investigator must refer the alleged breach to the Rulings Panel for determination under regulations 38 to 49.

The time frame is—

This regulation applies if the Rulings Panel—

The investigator must provide to the Panel a report and recommendation sufficient to enable the Panel to determine the alleged breach.

The report must, to the extent reasonably practicable, specify or contain the following information:

If this subclause applies, the report must also include the following information:

The investigator must use reasonable endeavours to give the report to the Panel within 5 business days of—

The investigator must forward a copy of the report to the following parties as soon as practicable:

If regulation 38(1) applies, the Rulings Panel must set a date for considering the alleged breach, and must give to the persons referred to in subclause (2) at least 20 business days notice of the place, date, and time at which the Panel will consider the alleged breach.

The following persons are entitled to be heard at any hearing or, if there is to be no hearing, to provide written submissions and evidence:

The industry body may apply to the High Court for the grant of an interim injunction—

The court may grant the injunction if, in the opinion of the court, it is desirable to do so.

Subclause (2) applies, in the case of an injunction under subclause (1)(a),—

The court may rescind or vary the injunction on application by the industry body or any participant or consumer affected by the injunction.

In this regulation, consumer has the same meaning as in regulation 5 of the Gas Governance (Critical Contingency Management) Regulations 2008.

The Rulings Panel may regulate its own procedures, except as otherwise provided in these regulations, and subject to the requirements of natural justice.

The Panel must provide a summary of its procedures to the industry body and the industry body must publish that summary.

The Rulings Panel may allow a participant to join as a party to a matter if the Rulings Panel is satisfied that—

The Rulings Panel must conduct a hearing in respect of a matter that is being considered by the Panel—

Hearings must be in public, unless the Panel directs otherwise.

If there is no hearing, the Panel must consider and decide the matter on the basis of the written submissions and evidence provided in accordance with regulation 39(2).

If there is to be a hearing, the Rulings Panel must ensure that the persons referred to in regulation 39(2) have been provided with—

The Panel must comply with subclause (1)—

If the Rulings Panel decides that a hearing should be held in private, it must advise the industry body, and the industry body must publish the decision of the Panel and the grounds for that decision.

Any participant that disagrees with the decision may, within 5 business days of the decision being published, make a written submission to the Panel setting out the reasons for its disagreement.

The Panel must consider the submission and then advise the industry body of its decision in respect of that submission.

The industry body must publish any further decision of the Panel and the grounds for that further decision.

If the Rulings Panel considers that the subject matter of a hearing involves a significant area of dispute, or is a matter of urgency, it must arrange for a hearing to take place as soon as practicable.

The Rulings Panel may receive in evidence any statement, document, or information that would not otherwise be admissible as evidence that may, in its opinion, assist it to deal effectively with its consideration of a matter.

This regulation is subject to regulation 30.

Any person that is entitled to be heard under regulation 39(2) at any hearing of the Rulings Panel,—

At any hearing of the Panel, the investigator who has investigated the alleged breach must, if requested to do so by the Panel, speak to his or her report and recommendation provided under regulation 38(2).

Despite subclause (2), the Rulings Panel must allow another investigator to speak to the report and recommendation if the investigator who has investigated the alleged breach is not available for any reason.

Subclause (1) is subject to regulations 41 to 43.

The Rulings Panel may request the investigator to obtain any further information if the Panel considers that, in relation to any matter before it, the Panel does not have sufficient information for it to determine what action to take under regulation 50.

The Panel may make the request of its own initiative or following an application by any person referred to in regulation 39(2).

Participants and the industry body must provide any information reasonably requested under this regulation.

Subclause (3) is subject to regulation 30.

The industry body may approve as industry experts any external auditor, technical expert, or other person to give advice or assistance to the Rulings Panel as and when required.

The Panel may employ, or otherwise seek advice or assistance from, not more than 2 of the industry experts approved by the industry body under subclause (1) when the Panel is—

Any person referred to in regulation 39(2) may make written submissions to the Rulings Panel on the subject of any order that the Panel may make, including any penalty.

Any submission under this regulation must be made by the date set by the Panel as the closing date for submissions.

Section 43X(1) of the Act provides for requirements and orders that can be made by the Rulings Panel.

If the Rulings Panel is determining an alleged breach of regulation 55(1) or 57 of the Gas Governance (Critical Contingency Management) Regulations 2008 by a participant that is a consumer, the Rulings Panel may decide to take no action if the Rulings Panel is satisfied that—

Subclause (2) does not limit the general discretion of the Rulings Panel under section 43X(1) of the Act to decide whether to take action, or what action to take, in respect of any alleged breach.

Section 43X(1)(e) of the Act provides for an order for a civil pecuniary penalty of an amount not exceeding $200,000 in any case where a participant has breached any provision of gas governance regulations or any provision of the rules.

When ordering payment of a civil pecuniary penalty, the Panel must—

In making that assessment, the Panel must have regard to the following matters:

The Rulings Panel must use reasonable endeavours to make its final decision on each matter under its consideration within 40 business days of the date by which it has received all written and oral submissions on the matter.

The Panel must give the decision, in writing together with the reasons for the decision, to the persons that were entitled to be heard under regulation 39(2).

The Panel must give the decision to the industry body as soon as practicable after the decision is made.

The industry body must publish every decision made by the Rulings Panel under this Part, together with the reasons for the Panel’s decision, within 10 business days of receiving the decision from the Panel.

However, the industry body must not publish any part, or all, of any particular decision if the Panel advises the industry body that there are special circumstances that justify the non-publication.

Every participant must comply with every requirement or order relating to it, including any direction or arrangement made by the Rulings Panel for the purpose of giving effect to the requirement or order, that is required or made under section 43X of the Act.

Every participant must perform any action, or make any payment, directed by the Panel within 10 business days of receiving notice of the direction, or any longer period that the Panel allows.

Any sum due to be paid by a participant under these regulations is a debt due by the participant and is recoverable as such in any court of competent jurisdiction.

A failure by a participant to pay a sum due to be paid under these regulations is a breach of these regulations.

A sum that is not paid when due bears interest, which must be calculated in accordance with Schedule 2 of the Interest on Money Claims Act 2016.

The registry operator is liable for any breach that it commits of rules 16, 18, 19, and 83 of the Gas (Switching Arrangements) Rules 2008.

The registry operator is not liable under these regulations for a sum in excess of—

The allocation agent is liable for any breach that it commits of rules 9 to 13, 43 to 62, and 78, 79, and 84 of the Gas (Downstream Reconciliation) Rules 2008.

The allocation agent is not liable under these regulations for a sum in excess of—

The critical contingency operator is liable for any breach that it commits of regulations 9, 28, 32, 34 to 38, 41, 42, 48 to 53, and 59 to 65 of the Gas Governance (Critical Contingency Management) Regulations 2008.

The critical contingency operator is not liable under these regulations for a sum in excess of the annual fee stipulated in the critical contingency operator service provider agreement in respect of all events occurring in any financial year.

A Rulings Panel is established.

The Panel is a body corporate with perpetual succession.

The functions of the Rulings Panel are to—

The Rulings Panel must comprise 1 person, and appointment to the Panel must be made by the Minister.

The member of the Panel must—

A member of the board of the industry body may not be appointed as the member of the Panel.

The appointment must be made by written notice to the member (with a copy to the industry body).

The notice must—

The appointment is effective from the later of —

The Minister may appoint a person to act as the alternate of the member of the Rulings Panel in accordance with this regulation.

Regulation 61(2) to (6) applies to the making of an appointment.

The alternate member may act in place of the member of the Panel, but only if the member of the Panel is unable by illness, absence, or other reason to so act.

The alternate member is to be treated as the member of the Panel for the purposes of the performance of any obligation under the Act or these regulations.

Unless the context otherwise requires, a reference to the member of the Panel in these regulations also includes a reference to the alternate member.

No appointment of a person under this regulation as the alternate member, and no acts done by that person or the Panel while that person is the alternate member, may in any proceedings be questioned on the ground that the occasion of the person’s appointment had not arisen or had ceased.

The following persons are disqualified from being the member of the Rulings Panel:

The member of the Rulings Panel—

This regulation is subject to regulation 67.

The Minister must remove the member of the Rulings Panel—

The Minister must state his or her reasons in any notice of removal.

The member of the Panel may resign from office by written notice to the industry body signed by him or her.

The resignation is effective on receipt by the industry body of the notice, or at any later time specified in the notice.

The Minister must fill a vacancy created by a removal or resignation as soon as possible in accordance with regulation 61 or 62, as the case may be.

The member of the Rulings Panel is not entitled to any compensation or other payment or benefit relating to his or her removal from office.

The member of the Rulings Panel ceases to hold office if he or she—

The acts of a person as the member of the Rulings Panel are valid even if—

The member of the Rulings Panel—

No person may be appointed as the member of the Rulings Panel if that person—

The member is interested in a matter relating to the Panel if, and only if, the member—

If the member of the Rulings Panel is interested in a matter before the Panel, the member must—

If subclause (1) applies, the alternate member must act in place of the interested member.

If regulation 71 applies, the member must disclose the details listed in subclause (2) in an interests register and to the industry body.

The details are—

The member of the Rulings Panel is entitled to receive, from the funds of the Panel,—

The Rulings Panel has all the powers necessary to enable it to perform its obligations.

The Rulings Panel must keep confidential all information provided or disclosed to it under these regulations except to the extent that disclosure—

The Rulings Panel may prohibit the publication or communication of any information or document—

The Panel may impose the prohibition only after it has had regard to the following factors:

The Panel may make the prohibition—

No member or employee of the Panel is personally liable for—

As early as practicable before the beginning of each financial year, the industry body and the Rulings Panel must agree on a budget for the expenses anticipated by the Panel, and on any performance objectives for the next 12 months.

Each month, the Panel must provide the industry body with a written report on actual costs incurred during the month compared with budgeted costs.

If the Panel anticipates incurring expenditure in excess of any budgeted amount, it must notify the industry body and apply for a variation to the agreed budget.

At the end of each quarter of the financial year, the Rulings Panel must provide the industry body with—

At the end of each financial year, the Rulings Panel must provide the industry body with an annual report—

The industry body must fund the market administrator, any investigators, and the Rulings Panel.

Each year of operation, the industry body must—

The industry body may recover the compliance costs apportioned to the relevant rules from industry participants as follows:

As soon as practicable after these regulations apply to a set of rules, the industry body must publish how the industry body intends to recover the compliance costs apportioned to the relevant rules.

Nothing in this regulation limits the ability of the Rulings Panel to make orders under section 43X of the Act relating to the reasonable costs of an investigation.

To avoid doubt, regulations 82 to 84 do not apply to costs that are recovered under subclause (3)(b) or (c).

In this regulation and regulations 82 and 83, year means a financial year unless the context otherwise requires.

The estimated compliance ongoing fees are payable to the industry body.

As soon as practicable after the commencement date of these regulations, the industry body must determine and publish a breakdown of the estimated compliance costs apportioned to the relevant rules for the first year or part year of operation of these regulations.

As soon as practicable after publication of those estimated compliance costs, the industry body must notify every person to whom regulation 84(1) applies of the compliance ongoing fees payable by that person in that year or part year calculated in accordance with the following formula:

For each year following the first year or part year of operation, the industry body must—

On the first business day of each month, the industry body or the market administrator must invoice every person to whom regulation 84(1) applies for that person’s share of the compliance ongoing fees payable during that month calculated in accordance with the formula in subclause (3).

The actual compliance ongoing fees are payable to the industry body.

As soon as practicable after the end of each year of operation, the industry body must determine and publish a breakdown of the actual compliance costs apportioned to the relevant rules for that year.

Not less than 10 business days after publication of those actual compliance costs, the industry body or the market administrator must invoice, or issue a credit note to, every person to whom regulation 84(1) applies for the difference between—

Every person who is liable to pay ongoing fees under a set of rules for a month is also liable to pay compliance ongoing fees for that month in accordance with these regulations.

The due date for the payment of any invoice or credit note is the tenth business day after the date on the invoice or credit note.

The fees payable under regulations 82 and 83 are exclusive of any goods and services tax payable under the Goods and Services Tax Act 1985, and goods and services tax on those fees (if any) will be added to the invoices or credit notes issued under regulations 82(5) and 83(3).